PAUL MURRAY’S Blue Knights lost out on the battle for Ibrox last night – then warned Duff and Phelps have made the wrong choice by backing Bill Miller.

PAUL MURRAY’S Blue Knights lost out on the battle for Ibrox last night – then warned Duff and Phelps have made the wrong choice by backing Bill Miller.

Murray, Brian Kennedy and their consortium could yet re-enter the race but only if preferred bidder Miller fails to follow through with his promise to create a newco.

Miller got the go-ahead yesterday from administrators but the Murray-Kennedy alliance warned his newco strategy could cause further damage.

In a statement they said: “We believe that we have the best interests of Rangers Football Club at heart and our motives reflect a thorough understanding of the position that Rangers holds in Glasgow and indeed Scottish football.

“We believe our bid was and remains the best bid for Rangers. We were therefore surprised and disappointed to be informed that a preferred, non-exclusive bidder has been appointed which appears to entail the transfer of the assets and Rangers business into a newco structure.

“Whilst we acknowledge the acceptance of a newco structure would be easier for Duff and Phelps to execute, we were not prepared to follow that course of action.

“We believe the complexities of a newco process should not be underestimated and the likely loss of European football for a minimum of three years may carry longer term financial consequences.

“Under our CVA proposed transaction, these issues could have been addressed more easily.”